Nepalnews.com.- Financial Action Task Force (FATF) has exerted pressure on Nepal to frame the policy on prohibition of money laundering within the period of three months, warning that if the country failed to do so it could be ostracised from the global economic system.

The FATF is an inter-governmental body whose purpose is development and promotion of national and international policies to combat money laundering and terrorist financing.

The FATF has already sent two letters to the country this year asking it to fulfill its commitment regarding money laundering.

Member of the FATF for Asian region, "Asia Pacific Anti-Money Laundering Group" is currently in Nepal to carry out assessment on this matter.

The group will extend financial and technical assistance to Nepal to stop money laundering.

If Nepal fails to abide by its commitment regarding money landing within 2010, there is a high risk that the country will be bereft of foreign assistance.

Similarly, the country's banks will also be barred from carrying out international transactions.

It is also said that Nepali passport holders going to foreign countries could also face a trouble as the "global warrant" issued by the FATF will reach immigration offices of all countries.